The rupee opened lower at 54.42 on Monday due to strengthening of the US currency overseas.
The pair was seen trading at 54.36/37 in early trade against its Friday close at 54.285/295.
The US dollar hovered near a three-and-a-half-year high against the yen and held an upper hand against other major currencies on Monday after remarkable growth in US employment added to optimism over recovery in the world's largest economy.
The rupee is expected to trade between a 54.18-54.57 range during the session, a dealer said.
Trade data will be watched for export performance.
Share sales inflows that will be eyed later this month include Steel Authority of India Ltd that could raise $600 million and National Aluminium Co which could fetch $880 million.
